Logistics solutions sponsor Tata Motors to provide 1800 cars to Commonwealth organisers

Tata Motors has recently struck a barter sponsorship deal in which it will provide 1,800 new cars to the organisers of Commonwealth Games to ferry athletes in lieu of its advertisements as a logistics solutions sponsor for the 12-day sporting event. The company would provide the vehicles  in exchange for association with the event. This has been agreed upon in a unique arrangement between Tata Motors and the Commonwealth Games Committee. Once the event is over, Tata Motors will take its vehicles back.  

The vehicles are expected to be in the range of Rs 140-150 crore. Later on, these vehicles will be sold through their used care business “Tata Motors Assured”, after the event finishes off. It is being expected that the value of these vehicles may depreciate by around 20%. This in turn means that Tata Motors is getting this logistics sponsors rights for around Rs 30 crore. The company denied to comment on any further details. Tata Motors spokesman said that they are supplying these vehicles for the benefits of advertising and would not like to disclose the commercial implication of the entire deal.  

Tata Motors will supply 1,600 cars including Indica and Indigo. There will be 100 Sumo Grandes and 50 Safaris from its sports utility vehicle section. Besides these, there will be 20 Wingers and 30 trucks. The other companies like Maruti Suzuki, Mahindra & Mahindra and Toyota Kirloskar also tried to get a similar deal but could not succeed. It is said that Mercedes Benz will also provide 50 vehicles.